Donating a vehicle to a charity and claim the value of the vehicle as a deduction on your itemized tax is a relatively simple process. Those who do not itemize deductions to deduct the value of charitable contributions from their taxes. Choose a charity recognized by the IRS and sign over the title. Part of the donation can be that simple, unless the value of the vehicle is greater than $ 5,000, in which case an assessment is required.
Select the charity of your choice in Wichita, making sure it is recognized by the IRS as a 501 (c) (3) or by checking the IRS website or Publication 78 - an annual list of most organizations that qualified to receive deductible contributions.
Sign the title to a duly authorized officer of the charity and have the legal conveyancing representative.
Get a receipt for the value of the vehicle as determined by the Kelly Blue Book. If the value exceeds $ 5,000, the IRS requires that the vehicle will be judged by an independent appraiser. The receipt must reflect the amount of appraisal. If the charity sells the vehicle, you need a copy of the receipt and use the fair market value of the sale and the amount of the deduction on your tax return.
Complete IRS Form 8283 for non-cash contributions to charity to claim the amount from the sale of cars. If you notice, the appraiser is required to certify the assigned value and sign the form.
Attach Form 8283 to your 1040 (a) form long used to fill your annual federal income tax return.
Archive for the deduction on their state taxes. If what they say in their federal taxes, you can claim on your state of Kansas.
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